Shall we get service tax registration number or not needed?

Service Tax (Legacy) 255 views 3 replies

Dear Professional Friends

Please let me know your inputs.

Shall we get Service Tax Registration Number or Not needed?

  • We are in an Apartment in Bangalore having 3000 houses. 1000 got occupied
  • We OWNERS FORMED an association 01.04.2016 and got Registered
  • We receive Maintenance Charges Rs5000 per QUARTER per Flat
  • WE do have small income from Common HALL Rent

Pls let me know in you need any more info in this regards

Adv Thanks

Balaji Subbu

Replies (3)

IF  YOUR GROSS RECEIPT ABOVE 10 LAC THAN YOUR ARE LIABLE OTHERWISE NO 

The latest circular clarifies this particular aspect – if a member is paying more than Rs. 5,000/- per month – service tax needs to be collected on entire amount and not just on the amount exceeding Rs. 5,000/-.. For example, if someone is paying Rs.5,100 the society is now liable for service tax of 5,100*12.36% = Rs. 630/-.

Couple of other clarifications as well which will reduce some confusion:
Service tax is only applicable on the amount collected from members whose contribution is more than 5,000/- per month per flat. If in a society there are members who are contributing less – the amount collected from them will not be liable for service tax.

Service Tax is not applicable where money is collected by society from members to pay to a third party purely as a convenience – like paying water bills issued to members in bulk.

Please follow the below-mentioned link 

https://blog.apnacomplex.com/2014/01/22/jan-2014-circular-on-service-tax-on-dues-collected-from-members-in-apartment-associations/

As far as income concerned from common hall rent. Please let us understand clearly. So that we can help.

 

Hi  Mohammad rasool

 

Thanks for your wonderful details.

We give our  halls for RENT to our inside Owners (Marraige, Exhitbition, party ) for Rs 5000 per day.

 

Pls let me have your inputs wrt Ser Tax

 

Adv Thanks

Cheers

Balaji Subbu


 


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